Richmond dispatch. [volume] (Richmond, Va.) 1884-1903, 1887-01-15
RAILROAD WORLD.
THE sIcHmosD AND WEST POINT TER
MIsAL AND EAST TENNESSEE.
Rumors in Regard to NegotiGtions-The
Norfolk and Western and the
East Tennessee.
rsn.cl.l ,elerram % ths pispatch.l

NEW YoRK. January 14.-The appoint.
ment Of The special committee Dy tne hiN-
mopd and West Point Terminal Company
10 investigate the condition OF the East
tennessee, Virginia and Georgia system
stirred afresh the rumofs that bad oeen
1uietly smouldering concerning the nego-
tialions for the purchase OF The latter road,
and II was positively announced that Ihe
whole matter had been settled at the Office
OF the East Tennessee road. However,
IL was stated that nothing had been done
officially, although the officials would
neither affirm OF deny that negotiations bad
been carried on looking TO purchase ny
The Terminal people OF controlling In
ttrest IN the East Tennessee property.
The negotiations that hid been 10 progress
between the Norfolk and Western and the
Fast Tennessee people before the recent
manic were SAID 10 be of entirely. 1nconver'
sationstO o. day with q director OF the Norfolk
snd Western that gentleman. to the DIs-
patch correspondent, said that his Board
was divided on the subject OF buying the
&C, 100000 East Tennessee first preferred
stock. now for sale TO the highest bidder by
the Thomas Brice party, as TINS would sim
ply give them a control OF the Board lor
some four years, when the stock, by Tue
terms Of the Reorganization plan under
which il was issued, would become part OF
the common stock. He said, however, that
they had gone so far as 10 make arrange
merits by which they could get the money
necessary on satisfactory terms, but that, in
his Judgment, and 10 that OF at least two
other directors. that money could be used
TO better advantage in constructing
line OF their own, which they could
do for that amount and leave 1t
free from any bonded debts. The only
part OF the East Tennessee system, he con-
iinued, which earned a surplus over its
bonded interest was that portion from Bris-
tol to Chattanooga, and the latter place was
the city the Norfolk and Western wanted
10 reach. The line 10, Brunswick and the
line TO Meridian do not earn the interest on
their proportion OF the bonds. The chance
Of The East Tennessee passing into con-
troll hostile 10 the Norfolk and Western had
been advanced for speculative purposes
dozen times during the last few years, and
TO provide for such q contingency surveys
had been made for a new road. The best
route and the one that in such an event
would be selected was what Is known AZ
the Clmch- River route running from BrlS-
toll, the western terminus OF the Norfolk
and Western, 10 a point on The Granger
system or Queen and Crescent route,
short distance north Of Chattanooga. This
line ould be about one hundred and forty
miles long, some thirty miles OF which
were already graded. This will give Us
the best route between New Orleans aud
the North. When asked upon what
basis his party had negotiated with the
East Tennessee people, he said that the lat
ter wanted por for their preferred stock,
but that the Norfolk and Western people
had offered less sum, and the negotia-
tions were pending TO arrange a basis be-
tween the two when the matter stopped
for A while,